The SEC is now asking Exchanges to update their 19B-4 filings for their Spot Ethereum ETFs. According to a Coinbase report, the SEC is abruptly telling exchanges interested in ETH ETFs to update their filings on an accelerated basis. This suggests the SEC may move to approve the ETF applications ahead of a key deadline this Thursday.
This is huge news for the future of Ethereum, indicating it may soon follow in the footsteps of Bitcoin in establishing its own ETF. However, before the ETFs can go live, applicants will need to have S-1 applications approved as well. The SEC has previously been adamant on delaying their decision on both Bitcoin and Ethereum ETFs. However, reports early on Monday indicated a potential swift change of heart by the regulator. Now, the process of Ethereum ETF approval is accelerating, as we may see Ethereum ETFs on the market soon.
How Long Until Ethereum ETFs Hit The Market?
For the Ethereum ETFs to be approved, the SEC must approve both the 19b-4s (exchange rule changes) & S-1s (registration statements). Only after both are approved will we see the first ETH ETFs on the market.
Also Read: Ethereum ETF Approval Odds Increase To 75% From 25%: Bloomberg
For context, Ethereum-based Exchange-Traded Funds (ETFs) are a type of investment fund that holds assets like stocks, commodities, or cryptocurrency. The ETFs trade on stock exchanges similar to stocks. In January 2024, the first cryptocurrency ETFs were approved for Bitcoin, the leading cryptocurrency by market cap. Shortly before and after that approval by the SEC, applications for Ethereum exchange-traded funds came flying in.
The news is especially bullish for Ethereum which is up over 11% at press time in the last 24 hours to $3,413.17. Upon approval of the ETH ETFs, Ethereum may skyrocket similarly to Bitcoin upon BTC ETF approval in January. Furthermore, the approval of Spot Ethereum ETFs may also generate more buzz in the overall cryptocurrency market. Having two crypto-based ETFs available on the stock market will be huge for crypto innovation and popularity amongst investors.